From the Desk - Economic Commentary
Brandon Casey, Member Strategist - 8/30/2024
U.S. stocks are higher Friday morning as the market looks to end the month on a positive note. All three major averages are on pace for a winning month, with the S&P 500 looking to finish higher for a fourth straight month. On the week, the DJIA is higher, while both the S&P 500 and Nasdaq are lower.
Looking at economic data today, the PCE Price Index increased 0.2% in July and 2.5% over the past year, both in line with expectations. Core prices, the Fed’s preferred inflation measure, were up 0.2% during the month and 2.6% over the last year, slightly less than the 2.7% forecasted. The annual change for core prices was unchanged from the previous month.
Consumer spending was up 0.5% during the month, matching expectations. Personal incomes increased 0.3%, just above expectations of 0.2%. The personal savings rate fell to 2.9%, the lowest level since June 2022.
U.S. Treasury yields are flatter this morning, with the 2-year Treasury yield up 1.7 basis points to 3.91%, the 5-year Treasury yield up 1.2 basis points to 3.68%, and the 10-year Treasury yield down 0.2 basis points to 3.87%. Some longer-term advance rates are higher today.
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